The 30-day rule
Any assured tenancy deposit in England must be protected in a government-authorised scheme within 30 calendar days of receipt (assured shorthold tenancies were abolished on 1 May 2026 — every new tenancy is now a periodic assured tenancy, and the deposit rules apply just the same):
You must also serve prescribed information within the same window.
Custodial vs insured
Custodial: you send the deposit to the scheme; it holds the money until the end of the tenancy. Insured: you keep the money but pay a fee and register with the scheme. Both are valid if the scheme is authorised.
Prescribed information
You must give tenants specific details: amount protected, scheme name and contact, how to apply for release, and what happens at the end of the tenancy. Use each scheme’s template to avoid omissions.
If you get it wrong
Courts can order repayment of 1× to 3× the deposit as a penalty. Before 1 May 2026 an unprotected deposit also blocked a valid Section 21; that route is now abolished, so today an unprotected deposit undermines a Section 8 possession claim instead, on top of the 1× to 3× penalty (seek legal advice on your case).
End of tenancy
Agree deductions in writing where possible. If you disagree, use the scheme’s free dispute resolution, adjudicators decide based on evidence.
Work out both your deadlines
Two 30-day clocks run from the day you receive the deposit: one to protect it, one to serve the prescribed information. Miss either and the penalty is the same. Our free deposit protection deadline calculator works out both dates for you in seconds, no signup, or protect and track every deposit in one login, so the deadline is watched for you instead of remembered.
DPS vs TDS vs mydeposits : scheme comparison
All three are government-authorised. The choice comes down to whether you want to hold the money yourself or hand it to the scheme.
| Scheme | Type available | Custodial fee | Insured fee (approx.) | Dispute process |
|---|---|---|---|---|
| DPS (Deposit Protection Service) | Custodial + insured | Free | ~0.6% of deposit | Online ADR, typically 6–8 weeks |
| TDS (Tenancy Deposit Scheme) | Custodial + insured | Free | ~£23–30/year | Online ADR, Ombudsman escalation |
| mydeposits | Insured only | – | ~£25–35 flat | Online ADR, TPAS |
Custodial: The scheme holds the deposit. Free, no default risk, easiest for landlords with one or two properties.
Insured: You hold the deposit funds and pay a fee. Useful for landlords who prefer to retain the cash balance, e.g. for liquidity across a larger portfolio.
ADR culture: All three use adjudicators not courts for disputes. You need evidence, check-in / check-out inventory, photos, written communications. Without evidence, you are unlikely to win deductions.
Recommendation: For most individual landlords, custodial DPS or TDS custodial is the lowest-friction option. For agents managing many deposits, insured schemes reduce client money exposure.
How much deposit can you actually take?
Protection is only half the rule. The Tenant Fees Act 2019 caps what you may take in the first place, and taking too much is itself a prohibited payment:
Work it out properly, because the arithmetic trips people up. Five weeks is not "a month plus a bit". For a rent of £1,200 a month, the annual rent is £14,400, weekly rent is £14,400 divided by 52 which is £276.92, and five weeks is £1,384.61. Round down, never up.
Take more than the cap and the excess is unlawfully charged. The tenant can reclaim it, and while the over-payment sits unreturned it can also cause problems with a possession claim.
What the Renters' Rights Act changed for deposits
Two practical things.
First, with fixed terms abolished on 1 May 2026, there are no longer renewal events. A tenancy that used to be re-papered every twelve months now simply continues as a periodic tenancy, and the single protected deposit covers the whole of it. There is no annual re-protection ritual, and no need to re-serve prescribed information just because a year has passed.
Second, if the deposit itself changes, the position does change with it. Take a top-up after a rent increase, or move the deposit to a different scheme, and you are protecting a different sum or holding it under a different registration. Re-register and re-serve the prescribed information. The same applies on a handover from a letting agent to you, which is the most common way this gets missed.
The two clocks, worked through
You receive the deposit on 3 March. Two separate 30-day clocks start that day.
By 2 April the deposit must be protected in an authorised scheme. By the same date the prescribed information must be served on the tenant. Serving it a week later is a breach even if the money was protected on day one, and it is the more common failure of the two.
Protect on the day the money arrives, generate the prescribed information from the scheme's certificate, and send it by email so the sent item is your proof. The whole job takes about ten minutes and removes the single most expensive administrative risk in letting.
If you have already missed the window, protect it now anyway. Late protection does not remove the penalty exposure, but the court cannot make a possession order while the deposit sits unprotected, so putting it right is what unblocks the possession route.
What it costs to get wrong
A tenant can apply to the county court for an order that you repay them between one and three times the deposit. The court has no discretion to go below one times, so there is no version of this that is free.
On top of that, the court cannot make a Section 8 possession order until the deposit is protected in a scheme or returned to the tenant, and the prescribed information given. Section 21, which deposit breaches also blocked, was abolished on 1 May 2026.
For a £1,384 deposit, a three-times award is £4,152, plus the delay to any possession claim. Against ten minutes of admin on the day the money arrived.
Scheme fees quoted in the comparison above move from time to time, so confirm current pricing with the scheme before choosing — our deposit scheme comparison sets custodial against insured side by side. What does not move is the deadline.
First-Day Tenant Document Pack Checklist (England 2026)
Every document a UK landlord must give a new tenant on day one, with the statute, the deadline and the evidence rule for each.
- Gas Safety, EICR, EPC, Deposit Prescribed Information, the written statement of terms
- RRA Information Sheet (31 May 2026 duty)
- Tenant Privacy Notice (UK GDPR)
- Tribunal-grade service-proof checklist
Frequently asked questions
How long do landlords have to protect a tenancy deposit?
For assured shorthold tenancies in England, you must protect the deposit in an approved scheme and serve Prescribed Information within 30 days of receipt. Late protection still exposes you to penalties, and the court cannot make a Section 8 possession order until the deposit is protected (or returned) and the prescribed information given (Section 21 was abolished on 1 May 2026).
Which deposit scheme should a landlord choose?
DPS, TDS and mydeposits are all valid. Custodial schemes hold the money for free; insured schemes let you hold funds for a fee. Pick based on whether you prefer simplicity or to retain the cash balance.
What is the penalty for not protecting a deposit?
A court can order you to repay between 1 and 3 times the deposit amount to the tenant. Failing to protect a deposit also blocks a Section 8 possession claim until the deposit is returned or protected.
What is the maximum deposit a landlord can charge in England?
Under the Tenant Fees Act 2019, the maximum deposit is 5 weeks' rent if annual rent is under £50,000, or 6 weeks' rent if annual rent is £50,000 or more. Charging more than this is a prohibited payment.
What is Prescribed Information and when must it be served?
Prescribed Information is a document (provided by the deposit scheme) that tells the tenant which scheme holds their deposit, how to reclaim it, and how to raise a dispute. It must be served within 30 days of receiving the deposit, at the same time as deposit protection.